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Press Release

Boeing Tries to Shut Down Competition

FreedomWorks commented on Boeing’s official complaint against Bombardier for selling airplanes at a low price. FreedomWorks President Adam Brandon released this statement following the U.S. International Trade Commission's vote to move forward with a preliminary finding:

“We know that Boeing has been one of the chief beneficiaries of cronyism at the federal and state level, including $5.7 billion in illegal tax breaks from Washington state. It seems that’s not enough for Boeing.

“Boeing is now trying to use government to snuff out competition for planes they don’t make. The underlying reason relates to a mistake in Boeing’s history. They let Airbus play in the American sandpit in 1978, and Airbus is still offering Boeing stiff competition.

“Boeing is saying Bombardier offered their 110-maximum-passenger planes for too little money to gain a foothold in the American. But Delta, the one that purchased Bombardier planes, says that Boeing does not even manufacture planes that match their requirements. Their commercial planes have too many seats; they’re too big for Delta’s purposes.

“That leaves us with the concern that Boeing is again using the arm of government to prevent competition down the road, which is an abuse of the system and a detriment to the American people, who will benefit from more freedom, more competition, better products, and lower prices.”

As the newly-negotiated trade agreement between the United States, Mexico, and Canada (USMCA) came to light, pundits and politicians rushed to process what the re-negotiation of the North American Free Trade Agreement (NAFTA) meant for global trade. The best, most level-headed take likely came from Rep. Justin Amash (R-Mich.), who said via Twitter that the agreement is “marginally better in some ways and materially worse in some ways.”

It’s no secret that Republicans have a difficult time doing what they said, but that doesn’t stop them from pretending they’re trying. True conservatives have been trying to end crony subsidies for years and the Farm Bill, H.R. 2, was supposed to be their chance to end wasteful programs that have been draining the economy since the New Deal era.

It goes without saying that at FreedomWorks Foundation (FWF), we keep our eye on cronyism rearing its ugly head in the regulatory process. But another type of cronyism is bouncing around Washington these days, and it flies under cover of anti-trust protections against monopolies.

Amazon has started its entry into the healthcare industry, pitching hospital executives on its distribution of hospital supplies. Its initial successes, challenges, customer feedback and competition are all promising signs for its ability to reduce costs in healthcare.

Last month, the United States International Trade Commission (ITC) voted unanimously against Boeing in a trade case it brought against its rival, Bombardier. Boeing had argued that Bombardier had illegally harmed their business by offering Delta Airlines a series of jets at a low rate. This claim was dubious, and was a clear attempt to try and eliminate their competition. The ITC’s decision is a victory for trade and anti-cronyism.

In his first State of the Union speech, President Trump once again promised to lower the swelling costs of prescription drugs. The question is – will the administration do it without imposing price controls.

In response to the recent report by Axios regarding rumored Trump administration plans to nationalize the 5G wireless network as a counter to China’s capabilities, FreedomWorks is strongly opposed to nationalization of ANY industry, let alone one so integral to the future of America’s economy. FreedomWorks stands in firm agreement with the statement offered by FCC Chairman Ajit Pai opposing any plans to nationalize the 5G market.

Competition is the hallmark of our economy. It promotes freedom of choice, innovation, and will lead to better products and prices for consumers. Not only that, but it is a key driver of job growth for Americans.